Look! Alaska Brought In $11 Million In Marijuana Tax Revenue This Year

The state of Alaska is in the news, and they are cashing in on marijuana. Today the word comes down that the State of Alaska collected more than $11 million dollars in marijuana tax revenues from cultivators in the 2018 fiscal year. The amount far exceeded prediction from the Alaska Department of Revenue by almost $2 million. In June alone, Alaska collected more than $1.2 million, the most ever, while officials believe that revenues collected in July will be higher.

Kelly Mazzei, an excise tax supervisor with the Department of Revenue, spoke about the predictions. She stated: “We absolutely are exceeding our predictions and additionally we are seeing a very steady increase in tax revenue collection each month.” She added: “I don’t believe the market has saturated and we haven’t seen exactly what capacity the state is going to operate in as far as cultivation and retail stores and the other facilities.” Half of the tax money collected is earmarked for the state’s new Recidivism Reduction Fund. Money from this fund can be allocated to several different programs aimed at crime reduction and drug programs. Those include the substance abuse treatment program and community residential centers for the Department of Corrections and the Department of Public Safety’s council on domestic violence and sexual assault.

The Department of Revenue is considering a change to the system. Currently, flower produced is taxed at a rate of $50 per ounce. The remainder of the plant, including leaves and stems, is taxed $15 per ounce. Under the new proposal, a third tax rate would be added for abnormal and immature buds. Give us your thoughts on the news below and keep it locked here for more on this coming soon.